Credit Cards

… as the shoppers rush home with their treasures. Yes, it’s the most wonderful time of the year, the “giving season.” But while all the holiday cheer surrounds you, be sure collecting and passing out all those treasures doesn’t get out of hand and leave your budget like so much tattered wrapping paper under the tree.

A recent Consumer Reports poll of 1,000 Americans showed only 38 percent of consumers made a budget for holiday spending last year. Of those, 44 percent exceeded it; five percent said they went “way over” their budget. Even more disturbing, six percent of those surveyed (a nationwide translation of over 13 million shoppers) are still paying off holiday debts from last year! 

Have you ever wondered why you use money in a particular way? For example, maybe you’re the type of person who overanalyzes every purchase even though you have plenty in savings. Or maybe you can’t seem to say no to your teenager’s request for a new computer when you’re losing sleep over the amount of your credit card debt. Many people find themselves stuck in an illogical pattern with money, but why?

It’s what’s known as your money personality, or a powerful set of ideas formed early in a person’s life that govern spending, giving and investment decisions.

Ever chosen to take the plunge with an “introductory” or “trial” offer only to have a hard time canceling the service? Worse yet, ever signed up for a trial offer or subscription with your credit card only to keep having it charged even when you didn’t want the service anymore?

We’re not saying all trial offers are bad. Actually, they can be very useful. For example, trial offers usually allow access to a product or service for free or at a reduced cost. This gives you a chance to see how well you like the product. And obviously, the merchant hopes you like the product enough to make future purchases.